Crypto License Requirements in Lithuania: Full Checklist for 2026
Lithuania remains a top EU jurisdiction for crypto businesses, offering a clear regulatory path under MiCA. This guide covers all crypto license requirements in Lithuania for 2026, including capital, tax, and step-by-step process. Whether you are a startup or an exchange, this checklist ensures you meet every condition.
Consulting24 has secured over 500 crypto licenses, delivering directly in Estonia, Lithuania, and Panama, and advising on other jurisdictions. If you need a faster, simpler setup, our Panama company package is a flat €6,000. Explore all options on our jurisdictions page.
What Is a Crypto License in Lithuania?
A crypto license in Lithuania is an authorisation from the Bank of Lithuania for virtual asset service providers (VASPs). Under MiCA (fully in force in 2026), it is now a full CASP (Crypto Asset Service Provider) licence. It allows companies to legally offer exchange, wallet, transfer, and other crypto services to EU clients.
The licence is regulated by the Bank of Lithuania, which supervises compliance with AML/CFT rules, capital requirements, and operational standards. Unlike the old registration-only model, MiCA imposes tiered capital and ongoing reporting. The regulator conducts thorough background checks on directors and beneficial owners, requiring proof of clean criminal records and financial soundness.
For a comparison with other EU regimes, see our Lithuania vs other jurisdictions page.
Who Needs a Crypto License in Lithuania?
Any company that provides crypto asset services to Lithuanian or EU residents needs a licence. This includes:
- Crypto exchanges (fiat-to-crypto and crypto-to-crypto)
- Wallet providers (custodial and non-custodial)
- Payment processors using crypto
- Brokers and dealers in crypto assets
- ATMs and kiosks
- Initial coin offering (ICO) issuers if tokens are classified as crypto-assets
If you plan to operate from Lithuania or target EU clients, you must hold a CASP licence. Exemptions are limited to fully decentralised services with no intermediary. Even peer-to-peer platforms that match buyers and sellers may require licensing if they exercise control over funds.
For example, a company offering a crypto debit card that converts crypto to fiat at point-of-sale would need a licence for exchange and wallet services. Similarly, a platform that aggregates liquidity from multiple exchanges and executes trades on behalf of users is likely a broker and needs authorisation.
License Type and Regulator
The licence is a CASP (Crypto Asset Service Provider) authorisation under MiCA. The regulator is the Bank of Lithuania (Lietuvos bankas). It oversees all VASPs and ensures compliance with the EU regulatory framework. The Bank of Lithuania is known for its pragmatic approach but rigorous standards.
Under MiCA, the licence is passportable across the EEA. This means a Lithuanian CASP can serve clients in all 27 EU member states without additional licences. However, you must notify the Bank of Lithuania of your intention to passport and provide details of your cross-border activities. The regulator may coordinate with host member state authorities.
For more on the application process, see our application process guide.
Cost and Timeline
| Item | Cost (EUR) | Timeline |
|---|---|---|
| Company registration (UAB) | €500 - €1,500 | 1-2 weeks |
| Application fee (Bank of Lithuania) | €1,000 - €3,000 | N/A |
| Legal and compliance setup | €5,000 - €15,000 | 2-4 weeks |
| Capital deposit (minimum) | €50,000 - €150,000 | 1-2 weeks |
| Total estimated cost (excluding capital) | €10,000 - €25,000 | 3-6 months |
| Ongoing annual compliance | €5,000 - €10,000 | Yearly |
Exact pricing depends on service type and complexity. For example, a simple wallet provider may pay on the lower end, while a full exchange with trading platform will incur higher legal fees. The timeline includes company incorporation, document preparation, and regulator review. The Bank of Lithuania aims to decide within 3 months of a complete application, but delays can occur if additional information is requested.
For a fixed-fee alternative, consider our Panama company setup at €6,000.
Capital Requirement
Under MiCA, capital requirements are tiered by service class:
- €50,000 for simple services like wallet provision or transfer services
- €125,000 for exchange services (crypto-to-crypto or fiat-to-crypto)
- €150,000 for trading platforms or order execution
These figures are minimums and must be held as paid-up share capital or equivalent. The Bank of Lithuania may require higher capital based on risk assessment, such as higher transaction volumes or complex business models. The capital must be deposited in a Lithuanian bank account and cannot be withdrawn during the licence period without approval.
For example, a company offering both wallet and exchange services would need at least €125,000. If it also operates a trading platform, the requirement rises to €150,000. For a detailed breakdown, see our requirements page.
Tax Treatment
Lithuania offers a competitive tax regime for crypto businesses:
- Corporate income tax: 15% standard, but 5% for small companies (up to €300,000 revenue, fewer than 10 employees).
- VAT: Exempt for most crypto transactions (exchange, transfer).
- Capital gains: Crypto-to-crypto trades are generally not taxable; only conversion to fiat triggers tax.
Tax residency and substance requirements apply. You must have a local director and registered office. The 5% rate is particularly attractive for startups. For example, a company with €200,000 revenue and 5 employees pays only 5% on profits. However, the tax authority may scrutinise transfer pricing if you transact with related parties.
For Panama, tax is territorial (0% on foreign income), making it a good holding structure. Combining a Lithuanian operating company with a Panama holding entity can optimise tax globally.
Allowed Activities Under the License
A Lithuanian CASP licence permits the following activities:
- Custodial and non-custodial wallet services
- Exchange of crypto assets for fiat or other crypto
- Transfer services (sending/receiving crypto on behalf of clients)
- Order execution and trading platforms
- Initial coin offerings (ICOs) and security token offerings (STOs) - subject to additional rules
- Reception and transmission of orders
- Portfolio management of crypto assets
Activities not covered include derivatives, lending, and staking (may require additional authorisation under MiFID or other regimes). If you plan to offer staking as a service, you may need a separate licence or at least regulatory guidance. The Bank of Lithuania provides a sandbox for innovative products.
Step-by-Step Application Process
- Company incorporation - Register a Lithuanian UAB (private limited company) with a local registered address and director. The director must be an EEA resident or hold a Lithuanian temporary residence permit.
- AML/KYC policies - Draft internal procedures, risk assessment, and appoint a compliance officer. Policies must be tailored to your business model, not generic templates.
- Capital deposit - Pay up minimum capital into a Lithuanian bank account. The bank may require a letter from the regulator confirming the application.
- Submit application - File with the Bank of Lithuania including business plan, governance structure, financial projections, and AML policies. The application fee is paid upfront.
- Review and interview - The regulator may request clarifications or interview directors and compliance officers. Be prepared to explain your business model and source of funds.
- Approval - Licence granted; you can start operations. You must notify the regulator of any changes in directors or shareholding.
Consulting24 handles the entire process. For a faster route, see our exchange license options.
Banking and Payment Services
Opening a bank account for a crypto company in Lithuania is challenging but possible. Traditional banks often refuse crypto-related clients due to AML concerns. Recommended solutions:
- Lithuanian fintech banks (e.g., Revolut Business, Paysera) - these are more crypto-friendly but may have transaction limits.
- EMI accounts (electronic money institutions) that accept crypto, such as MisterTango or Bankera.
- Correspondent banking through specialised providers like Clear Junction or BCB Group.
You will need to provide your licence (or proof of application) and AML policies. Some banks require a minimum deposit or turnover. Consulting24 can introduce you to compliant banking partners. For Panama, banking is more accessible with no crypto restrictions, and you can open accounts with global banks like Banco General or Towerbank.
Benefits of a Lithuanian Crypto License
- EU passporting - Serve 27 countries with one licence.
- Low corporate tax - 5% for small companies, one of the lowest in the EU.
- Fast processing - Typically 3-6 months, faster than many other EU jurisdictions.
- Strong reputation - Bank of Lithuania is respected globally for its regulatory clarity.
- No VAT on crypto - Reduces operational costs.
- Access to EU talent pool - Lithuania has a growing fintech ecosystem and skilled workforce.
Compare with Estonia or Malta for other EU options.
Compliance and Ongoing Obligations
Once licensed, you must:
- Submit annual reports to the Bank of Lithuania including financial statements and compliance audit.
- Maintain AML/CFT procedures and train staff annually. Training records must be kept.
- Conduct regular audits (financial and compliance) by an independent auditor.
- Report suspicious transactions to the Financial Crime Investigation Service (FCIS).
- Keep records for 8 years, including transaction data and customer identification.
- Notify the regulator of any changes in business model, directors, or shareholding.
Non-compliance can result in fines up to €1 million or licence revocation. This is general guidance, not legal advice. Always consult a professional.
Common Mistakes to Avoid
- Insufficient capital - Underestimating the tiered requirement delays approval. For example, a company offering exchange services must have €125,000, not €50,000.
- Weak AML policies - Generic templates are rejected; tailor them to your business. Include specific transaction monitoring procedures and risk indicators.
- No local substance - You need a local director and office; virtual offices may not suffice. The regulator may inspect premises.
- Ignoring tax planning - Corporate tax applies even if crypto-to-crypto is tax-free. Plan for profit distribution and transfer pricing.
- Banking delays - Start the account opening process early. Some banks take months to onboard crypto clients.
- Incomplete application - Missing documents or unclear business model leads to rejection. Use a checklist.
Learn from others' mistakes on our blog.
Alternatives and Comparisons
Lithuania vs Panama
Panama offers a flat €6,000 company setup with no crypto-specific licence. It is ideal for non-EU markets or as a holding entity. However, Panama does not provide EU passporting. If you target EU clients, Lithuania is better. For global operations, a Panama company combined with a Lithuanian licence can be powerful. Panama has no capital requirements and territorial tax (0% on foreign income).
Lithuania vs Estonia
Estonia also has a CASP licence under MiCA, with similar capital requirements. Estonia's e-Residency makes company setup easier, but Lithuania's tax regime (5% vs 20%) is more favourable for small businesses. Estonia's application fee is higher (around €3,300) and processing time similar.
Lithuania vs Dubai (VARA)
Dubai's VARA licence is for UAE markets only, not EU. Capital requirements are higher (€100,000+). Consulting24 does not provide VARA licences; we help you choose the right route. For EU, Lithuania remains a top choice. Dubai offers zero corporate tax but requires local office and sponsor.
Explore all jurisdictions we serve.
Why Choose Consulting24?
Consulting24 has obtained over 500 crypto licenses worldwide. We deliver directly in Estonia, Lithuania, and Panama. For other jurisdictions, we advise and coordinate with local partners. Our team of legal and compliance experts ensures a smooth process.
We offer:
- End-to-end licence application management
- AML policy drafting tailored to your business
- Banking introductions to crypto-friendly institutions
- Ongoing compliance support including annual reporting
- Tax planning and corporate structuring
Contact us on WhatsApp or book a consultation to discuss your project. We will assess your needs and recommend the best jurisdiction.
Frequently asked questions
What is the minimum capital for a crypto license in Lithuania?
Under MiCA, the minimum capital is €50,000 for basic services, €125,000 for exchange services, and €150,000 for trading platforms. These amounts must be paid up before application and held as share capital.
How long does it take to get a crypto license in Lithuania?
Typically 3 to 6 months from company incorporation to licence approval. The Bank of Lithuania aims to decide within 3 months of a complete application. Delays can occur if additional information is requested.
Can I passport a Lithuanian crypto license to other EU countries?
Yes. Under MiCA, a CASP licence from Lithuania is valid across all EEA member states without additional licences. You must notify the Bank of Lithuania of your intention to passport and provide details of cross-border activities.
What are the ongoing compliance costs?
Annual compliance costs range from €5,000 to €10,000, including audit, AML officer, and reporting. Exact costs depend on transaction volume and complexity. For a small wallet provider, costs may be lower; for a large exchange, higher.
Do I need a local director in Lithuania?
Yes. The company must have at least one director who is a resident of the EEA or holds a temporary residence permit in Lithuania. A local registered office is also required. Virtual offices are generally not accepted.
Is crypto-to-crypto trading taxable in Lithuania?
No. Only conversion to fiat currency triggers capital gains tax. Crypto-to-crypto trades are considered non-taxable exchanges. Corporate income tax applies on overall profits at 15% (or 5% for small companies).
Can I use a virtual office for my Lithuanian crypto company?
Virtual offices are generally not accepted. You need a physical registered address and preferably a local presence. The regulator may inspect premises. Some providers offer serviced offices that meet requirements.
What happens if my application is rejected?
You can appeal the decision or reapply after addressing the regulator's concerns. Common reasons for rejection include insufficient capital, weak AML policies, or unclear business model. Consulting24 can help you prepare a stronger application.
Is Panama a good alternative to Lithuania for crypto?
Panama is excellent for non-EU operations or as a holding company. Our flat €6,000 package includes company setup with no crypto licence needed. However, Panama does not offer EU passporting. For EU clients, Lithuania is better.
Do I need to be physically present in Lithuania for the application?
Not necessarily. The Bank of Lithuania may require an interview in person or via video call. Your local director or representative can attend. Consulting24 handles most steps remotely.
Related jurisdictions
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